Chinese automotive manufacturer Chery is establishing Liverpool as its European research and development headquarters, bringing together all European commercial vehicle operations under one Merseyside roof. The state-owned company will centralize research, engineering, and commercial activities at the facility.
Already making inroads in the UK market through its Omoda and Jaecoo brands, Chery is launching its eponymous brand with former England footballer Peter Crouch fronting the advertising campaign. The multi-brand approach signals Chery’s intention to capture significant market share across different vehicle segments.
Behind the scenes, UK government officials have been negotiating a potential agreement for Jaguar Land Rover to manufacture Chery electric vehicles in Britain. This arrangement was anticipated to feature in discussions during Prime Minister Keir Starmer’s state visit to Beijing, though no deal has been formally announced.
Business Secretary Peter Kyle has discussed the potential manufacturing partnership with JLR’s newly appointed chief executive, PB Balaji, according to sources familiar with the talks. Balaji, who previously served as an executive at Tata Motors, JLR’s Indian parent company, is reported to be open to the arrangement if it provides clear business benefits for JLR, though no concrete agreement has been reached.
The most likely venue for any manufacturing partnership would be JLR’s Halewood factory, which has substantial spare capacity following production declines from its 2017 peak of over 200,000 vehicles to a fraction of that volume in recent years. Operations at the plant, which produces the Discovery Sport and Range Rover Evoque, were severely disrupted by a cyber-attack in late 2024 that shut down all JLR production for several weeks. Gong Yueqiong, general manager of Chery Commercial Vehicle, emphasized the company’s commitment beyond simple product importation: “We are not just bringing products to the UK – we are building a British business.” The company’s localization strategy centers on recruiting British talent, partnering with UK institutions, and adapting products to local requirements, reflecting Chery’s confidence in the UK’s talent, infrastructure, and green technology commitment.
